M/S. TRANSCORE vs UNION OF INDIA

The Supreme Court ruled that the withdrawal of an Original Application (O.A.) under the first proviso to Section 19(1) of the DRT Act, 1993 is a condition precedent for a bank to take recourse under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002. The Court emphasized that without the Debts Recovery Tribunal's permission for withdrawal, the bank cannot invoke the NPA Act. The judgment clarifies procedural requirements for banks in debt recovery cases, affirming the necessity of adhering to statutory provisions.